Is there a fuel shortage in parts of US?

A leading company that tracks fuel availability issued an alert on Friday saying there is a shortage of fuel (diesel) in Southeastern US, including South and North Carolina. Mansfield Energy's signal includes Maryland, Alabama, Georgia, Tennessee, and Virginia.

The logistics and fuel supply company said the economics were changing daily, and conditions were devolving rapidly. Carriers sometimes need to visit different terminals for supply, leading to delays in deliveries and local trucking capacity straining.




In October's Winter Fuels Outlook, The US Energy Information Administration reported that diesel inventory on the east coast was below 45 per cent of the average of the previous five years by the end of September.

The company also said the diesel prices are at their highest since June at $4.50. On Friday, the company's newsletter said that diesel supply has reduced to 25 days' worth of supply in the past couple of weeks.

The time should typically be 35-40 days for the fuel markets to stay comfortable. The company said fuel is the week's breakout product.

Georgia, South and North Carolina, Virginia, and the lower Atlantic area have had the most inadequate diesel stock in the past five years.

The average diesel price for the third quarter was $5.16/gallon. The US Energy Information Administration estimates that the fourth quarter will see diesel at $4.86/gallon.

FAQs

Q1. How less is the fuel (diesel) inventory in Southeastern U.S?
A1. The US Energy Information Administration reported that diesel inventory on the east coast was below 45% of the average of the previous five years by the end of September.

Q2. What is the diesel price?
A2. The average diesel price for the third quarter was $5.16/gallon. The EIA estimates the fourth quarter will see diesel at $4.86/gallon.